7 Shopping Tips for Bakersfield Homebuyers
It’s no surprise that you’ve decided to invest in the real estate market in Bakersfield. The city is just two hours away from LA and offers warm weather and lots of opportunities for business and entertainment.
Before you go house hunting for Bakersfield real estate, we share some tips and strategies that can make your home buying experience successful.
While conventional loans are a popular choice for home buyers, it is not the ideal loan option for real estate investing since it involves a longer process to close.
Real estate investors need shorter repayment periods which is why a hard money loan by Accelerated Lending Group is a good loan product to consider. It offers faster approval, flexible terms, and lower down payments compared to conventional loans.
Start Saving
Some homebuyers are not familiar with the costs of buying a home. For starters, you need to save up for a downpayment, and closing costs.
Our team of loan experts at Accelerated Lending Group of Bakersfield, CA can give you an idea of how much you need to prepare before you apply for a loan.
Your down payment will depend on the type of mortgage you choose, VA loans offer no down payment while conventional loans can give at least 3%. This gives you an idea of how much you need to save. A 3% down payment on a $300,000 home is $9,000.
Closing costs are fees you pay for lender services and may range from 2% to 5% of the loan amount.
Boost Your Credit Scores
Boosting your credit scores will give you a better chance of qualifying for a loan. Make sure to get reports from the three credit bureaus and correct any errors that may impact your score. For information on the credit score needed to buy a home in Bakersfield, CA an experienced Bakersfield mortgage broker will gladly show you the ropes.
Compute How Much Home You Can Afford
Before you start looking for a house you need to find out how much you can afford to avoid a lack of funds down the road. There are online mortgage calculators you can use that can help you determine how much you can afford based on your income, debt, down payment, and credit score.
Choose The Best Mortgage Options
With so many loan options available in the market today you’ll surely find one that caters to your financial situation.
You can choose from conventional mortgages, FHA loans, USDA, and VA loans which are among the popular choices for loan types.
Get a Preapproval Letter
Having a preapproval letter in your arsenal can be used as leverage, especially in hot real estate markets.
Get a Home Inspection
Getting a home inspection before you sign on the dotted line is a good way to discover potential problems that will give you headaches down the road.
Buy Home Insurance
The majority of lenders require the purchase of homeowners insurance before closing the deal. Having enough home insurance to cover the cost of rebuilding the property when disaster strikes can give you peace of mind.
Ready to buy that investment property in Bakersfield, CA?
You can now avoid the lengthy approval process of conventional loans by applying for a loan with a hard money lender in Bakersfield.
Let our loan experts help you close the best loan product for you so that you can secure your real estate investment in the shortest possible time.
* Specific loan program availability and requirements may vary. Please get in touch with your mortgage advisor for more information.